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If there is a decrease in demand for a product in a purely competitive industry, it results in an industry contraction that will end when the product price is:
1. Greater than its marginal cost
2. Equal to its marginal cost
3. Greater than its average cost
4. Less than its marginal cost
The GDP deflator is a good cost of living index. GDP is more volatile in the short-run than the long-run. All government spending is in GDP. If GDP is adjusted for purchasing power, the US usually improves its relative position.
A used car dealer in Las Cruces placed the following advertisement: $500 down now + $99 for the first 12 months + $199 for the following 48 months a. What is the price of the car if the interest rate is 12% per year compounded monthly? b. If financin..
From the perspective of an executive with the firm, prepare a strategic plan to grow the business over the next three years. Your strategic plan must be future-oriented and must: Describe Porsche’s history and its 4Ps (Product, Price, Place, and Prom..
q.why was firm examining in support of antitrust behavior? categorize some of costs financial and non-financial
As a general rule, is it safe to assume that a lower interest rate will encourage significantly lower financial savings for all individuals? Explain.
A volunteer fire department anticipates purchasing a fire truck in 3 years. Today it will cost $625,000 but the cost is increasing to 4% per year. Find the semi annual payments needed to accumulate funds to purchase the truck if funds earn 6% compoun..
The currency-deposit ratio has been and is likely to remain relatively stable. The ratio of non-transactions deposits to transactions deposits increased by a factor.
Mr. Allen views nutella and soda as perfect complements. She always needs two tablespoons of nutella with one tablespoon of soda, U=min{J, 1/2N}. What will her optimal consumption bundle be if the price of soda is $0.25 and the price of nutella is $0..
Explain how fiscal policy (making changes to government spending and taxes) would affect aggregate demand (AD).
If the tax multiplier is -1.5 and a $200 billion tax increase is implemented, what is the change in GDP, holding everything else constant?
How will the unemployment rate during the current period compare with the natural rate of unemployment.
Determine the firm’s supply functions when all fixed costs are avoidable. Determine the firm’s supply functions when all fixed costs are sunk. Determine the firm’s supply function when only $200 of the firm’s fixed costs are avoidable.
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